Recommendations of Dividend Policy At Fpl Group Inc (A) Case Help

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Recommendations of Dividend Policy At Fpl Group Inc (A) Case Study Help

RecommendationsOn the basis of above internal and external analysis of the business along with the evaluation of various options, the company is suggested to consider alternative 3. As alternative 3 would allow the company to expand in worldwide markets without any decrease in its local profits and any deterioration of its market position. The business might pursue alternative 1 which would enable the business to focus on prospective worldwide markets rather than the regional markets but as the business is highly reliant on the regional markets with 90% of its shops in the US, there fore pursuing option 1 would result in the substantial decline in business's profits.

Aletrnative-1: Expanding International Brick and Recommendations of Dividend Policy At Fpl Group Inc (A) Case Analysis Stores

International SegmentsThe business has a long term market position in United States which can not be produced soon in the brand-new markets. The alternative would help the business to broaden in international markets along with the elimination of concerns raised in its regional markets related to its variety.

Pros:

• Expedition of brand-new global markets.
• Boost in revenue from worldwide markets.
• Elimination of problems connected to diversity.
• Revenue diversification.
• Step towards being a strong worldwide brand.

Cons:

• Loss of extensive profits from the local markets.
• Increase in competition.
• Differences in cultures might led to a failure of the brand name especially in Asian nations.
• Low revenues at preliminary levels.
• Boost in marketing expenditures to get market share.

Alternative-2: Introduction of Click and Recommendations of Dividend Policy At Fpl Group Inc (A) Case Help Stores

Alternative 2 consists of the intro of online market locations through producing an appropriate company's site. With the increased trends towards online shopping, the online stores like Amazon, Alibaba etc. might pose a serious danger to the marketplace share of business. Furthermore, the competitors are shifting towards click and Recommendations of Dividend Policy At Fpl Group Inc (A) Case Help stores with Gap presenting Piperline. This shift towards online markets might reduce the profits for business. In this circumstance the company might consider presenting Click and Recommendations of Dividend Policy At Fpl Group Inc (A) Case Solution shops. These stores with a low requirement of funds to settle would enable the business to reach international markets, without ending its domestic stores. The advantages and disadvantages of option 2 are given as follows;

Pros:

• Low financial investment
• Lowering competitors hazard
• Access to the world markets
• Increasing the size of customer base
• Easy to handle
• Big Earnings
• Low Operating Costs
• Easy brand-new market entryway

Cons:

• Danger to the market position
• Elimination of brand name Uniqueness
• Removal of the great store experience.
• Danger of decline in elite sales.

Alternative-3: Expansion towards International Markets Without closing Domestic Stores

Another alternative that the company could consider, is to expand towards the international markets without closing its domestic shops that adds to the major part of revenues of the business. The pros and cons associated with Alternative 3 are offered below;

Pros:

• Reducing competition hazard
• Access to the world markets
• Expanding consumer base
• Large Incomes
• Expedition of brand-new worldwide markets.
• Boost in income from global markets.
• Earnings diversity.
• Step towards being a strong worldwide brand name.

Cons:

• Extension of issues related to variety.
• Differences in cultures could caused a failure of the brand particularly in Asian nations.
• Low incomes at initial levels.
• Increase in marketing expenses to get market share.



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